New Fuel Station Rule : In a sudden shift affecting millions of vehicle owners across the country, a new rule has been introduced that bans all forms of online payments at petrol pumps. Starting immediately, customers will only be allowed to pay using cash for purchasing petrol or diesel. This change has been brought in by regulatory authorities citing system inefficiencies and increasing disputes over digital transactions at fuel stations.
This new rule has sparked widespread discussions, especially among urban commuters who rely heavily on UPI, credit cards, and mobile wallets. Here’s everything you need to know about this major change, its implications, and how to stay prepared.
Why Are Online Payments Being Banned at Petrol Pumps?
The decision to ban online payments was influenced by multiple operational and security concerns. Key reasons include:
- Frequent delays in UPI and card settlements
- Network failure complaints from petrol pump operators
- Rise in fraudulent transaction claims
- Discrepancies in amount received vs. billed
- Reduced operational efficiency at peak hours
Authorities believe that a temporary shift back to cash-only transactions can stabilize operations while a more robust digital infrastructure is developed.
What Does This Mean for Consumers?
With the cash-only rule now in place, fuel buyers will have to make necessary adjustments:
- Carry sufficient cash before heading to the fuel station
- Avoid depending on QR code scanning or card swiping at petrol pumps
- Check for exact change to avoid payment hassles
- Longer queues expected due to manual billing and cash handling
Consumers are advised to stay alert and adapt to the new cash-only system to avoid last-minute inconveniences.
Timeline and Implementation of the Rule
The rule has been implemented in a phased manner across multiple states and is expected to be nationwide by mid-June 2025. Below is a table showing the tentative implementation timeline:
| State/Region | Start Date | Affected Stations | Cash Only Time Slot | Digital Payment Allowed After |
|---|---|---|---|---|
| Delhi NCR | May 10, 2025 | All major pumps | 6 AM to 10 PM | Not applicable |
| Maharashtra | May 12, 2025 | Urban & rural | Full day | Suspended |
| Tamil Nadu | May 14, 2025 | Tier-1 cities | 7 AM to 9 PM | Pending review |
| Karnataka | May 15, 2025 | All city areas | 24 hours | Suspended |
| Gujarat | May 18, 2025 | Selected stations | 6 AM to 6 PM | After evaluation |
| Punjab | May 20, 2025 | All pumps | 24 hours | To be notified |
| Rajasthan | May 21, 2025 | Major cities | Full day | Suspended |
This schedule is subject to change based on compliance and infrastructure readiness.
Official Statement and Justification
As per the statement from the Petroleum Regulatory Board:
“The ban on digital payments at fuel stations is a temporary step to protect both customers and operators from technical failures and transactional disputes. The goal is to upgrade systems and reintroduce digital payments in a more secure and standardized format.”
The government has also hinted at rolling out a new centralized payment platform exclusively for fuel stations by the end of 2025.
How Fuel Station Operators Are Responding
Petrol pump operators have welcomed the move citing ease of operation and improved revenue tracking. Some common operator reactions include:
- Reduction in real-time billing disputes
- No dependence on internet connectivity
- Quicker turnaround time for each vehicle
- Simplified end-of-day accounting
However, there are concerns about security due to large amounts of cash being handled daily, especially in urban centers.
Impact on Daily Commuters and Transport Services
Daily commuters, cab services, and commercial vehicle operators will be among the most affected. Here’s how it breaks down:
| Segment | Dependency on Digital | Likely Impact | Suggested Action |
|---|---|---|---|
| Office Commuters | High | Forced to carry cash daily | Use fuel cards/cash |
| Cab Aggregators (Ola) | Very High | App payments disconnected | Adjust fare settings |
| School Buses/Autos | Low | Minimal effect | Carry exact fare |
| Long Route Trucks | High | High impact on route planning | Pre-cash stocking advised |
| Two-Wheeler Riders | Moderate | Disruption due to low change available | Visit early morning slots |
Transport companies are now revising their payment models to accommodate the cash-only restriction.
Will This Rule Stay Forever?
As of now, the ban is temporary. Authorities have clarified that this move is designed to fix current loopholes in payment processing. A permanent policy will only be made after reviewing:
- Success of cash-only operations
- Reduction in transaction failures
- Feedback from consumers and operators
- Technological improvements in digital platforms
A new digital payment system customized for fuel stations is being developed and may be piloted by December 2025.
This new fuel station rule banning online payments has caught many off guard, especially in metro cities. However, the government maintains that the decision is in public interest and aims to enhance operational safety and reliability.
Key Takeaways:
- Always carry cash when heading to petrol pumps
- Avoid waiting until low fuel to refill
- Stay updated with official announcements from fuel companies
- Encourage fellow drivers to be prepared for the cash-only system